STAND. COM. REP. NO. 462-00

                                 Honolulu, Hawaii
                                                   , 2000

                                 RE: H.B. No. 2922
                                     H.D. 1




Honorable Calvin K.Y. Say
Speaker, House of Representatives
Twentieth State Legislature
Regular Session of 2000
State of Hawaii

Sir:

     Your Committee on Energy and Environmental Protection, to
which was referred H.B. No. 2922 entitled: 

     "A BILL FOR AN ACT RELATING TO RENEWABLE ENERGY RESOURCES,"

begs leave to report as follows:

     The purpose of this bill is to require the public utilities
commission to direct public utilities that supply electricity to
acquire electricity generated from available nonfossil fuel
sources in certain situations.

     Hawaii's dependence on imported fossil fuel increases every
year.  This makes the State vulnerable to supply shortages and
price increases.  Your Committee finds that a reduction in
Hawaii's reliance on fossil fuel is in the long term interest of
the State.  This bill will maximize the consumption of renewable
energy to reduce consumption of fossil fuels.

     Testimony in support of this bill was received from the
Consumer Advocate, Hawaii Renewable Energy Alliance, Wailuku
River Hydroelectric Power Company, Puna Geothermal Venture, Ogden
Energy Group Inc., Zond Pacific, Inc., Apollo Energy Corporation,
and the Sierra Club.  Testimony in opposition was received from
Hawaiian Electric Company, Maui Electric Company, and Hawaii
Electric Light Company.


 
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                                 STAND. COM. REP. NO. 462-00
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     Your Committee has amended this bill by specifying that the
electricity be acquired from "available" nonfossil fuel sources,
when the use of those fuel sources does not result in a
significant increase in rates, or compromise energy reliability.
Your Committee has also made technical nonsubstantive changes for
the purposes of clarity.

     As affirmed by the record of votes of the members of your
Committee on Energy and Environmental Protection that is attached
to this report, your Committee is in accord with the intent and
purpose of H.B. No. 2922, as amended herein, and recommends that
it pass Second Reading in the form attached hereto as H.B. No.
2922, H.D. 1, and be referred to the Committee on Consumer
Protection and Commerce.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Energy and
                                   Environmental Protection,



                                   ______________________________
                                   HERMINA M. MORITA, Chair

 
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